For Amazon, it’s a chance to buy into a segment of ecommerce that’s expected to grow 21.3% this year, well ahead of the company’s recent performance. More brand dollars from TV and social will shift to Amazon. The ecommerce giant’s physical store strategy is becoming clearer as it invests in grocery.
In Latin America, ad buys on ecommerce channels consist of lower-funnel actions like sponsored product ads. Although brands are shifting spending to more upper-funnel formats, such as sponsored display and video, these performance-driven formats will remain the cornerstone of marketers’ retail media strategies in the near term.
Sharing a common desire to diversify away from social and search advertising, many brands are launching into TV. As these brands scale their efforts across streaming and linear TV, they are consequently reaping rewards across their core key performance indicators (KPIs). And they haven’t had to make any concessions in how they track their dollars against outcomes.
With the mounting scrutiny on marketing performance, some of the brand conversation has turned toward brand equity, leading CMOs to focus on not just the financial value of their brand, but the social value as well. Financial and social outcomes are intrinsically linked.